Aristotle Capital Boston
Small/Mid Cap Equity

Strategy Overview

The investment objective of the Small/Mid Cap Equity strategy is to maximize long-term capital appreciation while mitigating risk relative to the benchmark over multi-year periods. Through a fundamental, bottom-up research effort, the team seeks to identify businesses they believe possess quality management teams, attractive industry dynamics, strong or improving financials, and attractive upside potential and limited downside risk.

The firm believes it can generate alpha over the long term by exploiting business valuation opportunities as they are identified in the marketplace, creating long-term value driven by security selection. While there is no formal tracking error target for the strategy, it has historically ranged between 3% and 5%, annualized.

Benchmark: Russell 2500 Index; Russell 2500 Value Index (secondary)

Market Cap Range: Within the Russell 2500 Index at the time of purchase

Sector Weights: +/- 10% of benchmark weight (on an absolute basis)

Individual Position Size: Maximum of 5% (typically trimmed as they exceed 2.5%)

Cash: Typically less than 5%

Annual Turnover: Typically 20% – 30%

Vehicles Offered: Separate Account, Collective Investment Trust

Materials

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